Business unprepared for emission trading scheme: survey

A survey has found top level executives are unprepared for the introduction of the Federal Government's emissions trading scheme.

The Australian Institute of Management survey of executives in Victoria and Tasmania found only 36 per cent knew that the scheme is set to begin in 2010.

Eighty per cent of respondents said they had little knowledge or were only "somewhat aware" of it.

The Institute's chief executive, Susan Heron, says most respondents said their knowledge about the scheme had come from the news.

"It does show that government really does need to step up to acquaint the industry and business sectors about what is coming and what is going to be a significant cost for organisations, and not just large organisations - it's going to be every industry sector in Australia," she said.

The Institute says the survey is a wake-up call for the Federal Government.

Ms Heron says dialogue between the Government and the business sector about the plans to address climate change has been inadequate.

"Those surveyed overwhelmingly showed they indicated support for an emissions trading scheme, recognition that we need to be doing something in this arena," she said.

"But they need to know and they need to have some leadership to actually understand what this is going to mean to their business so the Government is receiving a wake-up call for this survey."

Compensation

The Greens say compensation to households from the emissions trading scheme should not be delivered as a cash payment.

The Greens say they have put the Government on notice to respond by setting tough emissions reduction targets for 2020.

Greens Senator Christine Milne says the Government must also look to compensating low income earners by bolstering public transport.

"The question is how is that compensation paid," she said.

"Is it paid in a cheque or is it paid by providing public transport and energy efficiency, and my preferred position is for the Government to roll out massively in those areas to permanently reduce costs, not just give people cheques."